Step 1: Restriction endonucleases recognize specific palindromic sequences in DNA and cut them, making Assertion (A) true.
Step 2: A palindromic sequence is a DNA sequence that reads the same forward and backward on complementary strands, but it does not inherently have "two unique recognition sites" like PstI and PvuI, which are specific restriction enzymes with their own recognition sequences, making Reason (R) false.
Step 3: Since (R) is incorrect, it cannot explain (A).
Thus, (A) is true, but (R) is false.